IOTA announces network upgrade for more real-world adoption

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As a researcher who has been closely following the blockchain space for years, I am genuinely excited about the IOTA Foundation’s upcoming upgrade, “IOTA Rebased.” With my background in decentralized technologies and understanding of real-world applications, I can see the potential this change brings.

The IOTA Foundation has unveiled a significant update for its blockchain system, with the goal of enhancing its capacity to handle large volumes of transactions (scalability), promoting a more distributed control structure (decentralization), and boosting its practical applications in the real world.

The “IOTA Rebased” plan aims to revamp IOTA’s primary network by adopting a Move-centric object ledger system. This transformation will infuse the network with programming capabilities and allow for processing tens of thousands of transactions in a single second.

Should token holders endorse this proposal, it signifies a transition towards a delegated Proof-of-Stake system, where the network will be secured by approximately 150 permissionless validators.

This action involves transitioning IOTA’s (IOTA) current setup to a decentralized model, enhancing transaction speed and security. The plan further incorporates the Move programming language, empowering the execution of smart contracts directly on the primary network layer. This innovation aims to broaden IOTA’s utility in sectors including supply chain management, asset digitization, and digital identity solutions, as suggested by the company.

Iota has introduced a position for community discussion and deliberation regarding the protocol update. This vote will become active starting from December 2.

In August, IOTA unveiled a blockchain solution designed to make managing music rights within the film industry more straightforward. This innovation was developed through the European Blockchain Pre-Commercial Procurement project and is intended to facilitate negotiations and safeguard intellectual property rights by creating a smoother process.

Move ecosystem merge

By aligning with the Move ecosystem, which includes platforms such as Sui (SUI) and Aptos (APT), IOTA seeks to capitalize on the capabilities of MoveVM. It also strives to be the initial Layer 1 network to embrace this particular architecture.

The IOTA Foundation unveiled a test network powered by Move technology to demonstrate its capabilities, offering developers resources such as a browser wallet extension and revised documentation for their use.

In this suggested system, a new economic model is implemented that offers staking rewards and a flexible token supply. Those who act as validators or delegators will receive recently issued IOTA tokens, with an initial annual inflation rate ranging from 6% to 7%. This could potentially yield an estimated yearly return of 10-15% for those who stake, as outlined in the company announcement.

This model intends to motivate network engagement and uphold a balanced token distribution by employing methods such as burning transaction fees.

The proposed upgrade might greatly speed up our attempts to adopt IOTA more widely, as it introduces both programmable features and complete decentralization. We are confident that this plan offers the greatest potential to provide benefits for the IOTA community.

Dominik Schiener, Co-Founder and Chair of the IOTA Foundation.

Through the Rebased proposition, IOTA aims to fortify its role as a front-runner in blockchain infrastructure, emphasizing the connection between decentralized technology and tangible, everyday uses.

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2024-11-18 20:30